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NEAR Protocol: Is the Bottom In or Is a Pullback Imminent?

NEAR Protocol: is the BOTTOM in for NEAR?
NEAR Protocol: is the BOTTOM in for NEAR?

In the ever-dynamic world of cryptocurrencies, determining whether a token has reached its lowest point is crucial for making informed investment decisions. Join us as we delve into the current state of NEAR Protocol, examining its technical indicators, Elliot Wave patterns, and potential price movements.

Technical Analysis: A Positive Trend with Underlying Concerns

Nick, the host of “Cheeky Crypto,” initiates the discussion by analyzing Near Protocol’s technical indicators on the 1-hour timeframe. He observes that the NEAR/USDT pair on Binance is currently trading above the 50 EMA, 50 SMA, and 200 EMA, suggesting a positive market trend. This finding is further supported by the presence of Smart Money Concepts and bullish structures. Additionally, fair value gaps indicate that institutional money might be pushing the price higher.

Despite these positive indicators, Nick raises concerns about overlapping structures identified using Elliot Wave Theory, suggesting a potentially short-term move. He identifies a potential wxy x z pattern, hinting at a possible reversal in the near future. However, he also mentions internal ABC or wxy patterns, anticipating a potential move towards $22.5 to $29.4.

Stochastic and Daily Chart Analysis: Overbought Conditions and Reversal Signals

Nick shifts his focus to Stochastic indicators, which reveal overbought conditions on higher timeframes (4H, 8H, and weekly). This observation suggests that a pullback might be on the cards.

On the daily chart, Nick points out a reversal with a problematic Wick on October 19, possibly indicating a corrective impulsive move. While a potential golden cross looms on the horizon, Nick expresses skepticism about its impact due to its delayed arrival.

Price Prediction and Bearish Outlook

Nick delves into price predictions, emphasizing the need to break through the high at $284.6 for bullish confirmation. If this level remains intact, he predicts a downside move towards $39.3 to $57.3, with a possibility of reaching 22 cents.

Nick maintains a bearish outlook, expecting a pullback to the 200 EMA at $148. He attributes this bearish sentiment to the unsustainable nature of the recent bullish trend.

Upside Potential: A Conditional Scenario

Despite his bearish outlook, Nick acknowledges NEAR Protocol’s potential for growth if certain conditions are met. He mentions a possible move towards $37 if a bottom is confirmed. However, he stresses the importance of cheaper prices before considering future price action.

Conclusion: A Call to Action

Nick concludes the video by encouraging viewers to like, subscribe, and join the Discord community to stay updated on the latest developments in the NEAR Protocol ecosystem.

Key Takeaways

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